Maui Vacation Rental Investment Guide

Maui remains one of the most sought-after vacation rental markets in the country, but the rules changed in 2025 and 2026. Bill 9 is phasing out vacation rentals in apartment-zoned condos, transient taxes went up, and property tax rates for vacation rentals are among the highest on the island. This guide covers where you can still legally rent short term, what it costs to operate, and how to evaluate a purchase.

Where Vacation Rentals Are Allowed

• Hotel-zoned condos: vacation rentals of under 180 days are allowed by zoning and are not affected by Bill 9. Association rules can still limit rentals. See our list of hotel-zoned condos.
• Minatoya list condos: legal today, but the use ends on the Bill 9 deadlines unless the property is rezoned. See the full Minatoya list and the Bill 9 guide.
• Napili Bay Civic Improvement District: a separate zoning district with its own rules; confirm the specific property.
• Single-family homes: require a county Short-Term Rental Home or bed and breakfast permit, which are limited in number and hard to obtain. A permit generally does not transfer automatically to a new owner.

Taxes on Rental Income

These taxes are typically collected from guests on top of the nightly rate, but they shape what guests pay and therefore your competitiveness. Booking platforms collect some taxes but not always all of them, so confirm your filing obligations. See our pages on the state TAT and Maui County TAT.

Maui Property Tax Rates (Fiscal Year 2026-27)

Example: a condo assessed at $800,000 in the TVR-STRH class pays about $10,400 a year in property tax, versus about $2,320 in the long-term rental class. That difference is one reason some owners are converting to long-term rentals. Which class applies depends on how the unit is used and on the county's classification; condos in a hotel rental program may fall in the Hotel and Resort class. See Maui property tax rates and the long-term rental exemption.

Operating Rules

• Advertising: every ad, including online listings, must display the TAT registration number and the name, phone number and email of a local contact (or provide them to guests before arrival). Fines run $500 a day for a first violation, rising to $5,000 a day.
• Local contact: owners who live off-island must name a contact who lives on Maui or a local business with staff here. See the local contact requirement.
• Association rules: check minimum stays, registration fees, parking and check-in procedures.

How to Run the Numbers

1. Gross revenue: use actual booking history for the unit or comparable units in the same building, not a platform estimate.
2. Operating costs: management (full-service managers on Maui commonly charge a percentage of rental revenue), cleaning, HOA dues, insurance, TVR property tax, utilities, internet, supplies, maintenance and furniture replacement.
3. Time horizon: for a Minatoya list unit, count only the vacation rental years left before the deadline, then model long-term rent or personal use afterward.
4. Financing: some condo-hotels and buildings with heavy rental use are non-warrantable, which affects loan options and resale. See our condo insurance and assessments guide.
5. Exit and taxes: plan for HARPTA withholding if you will sell as a nonresident, and consider a 1031 exchange to defer gains.

Related: Maui investment properties for sale | Short-term vs. long-term rentals | Condotels | Buyer resources | Selling a Minatoya list condo

Updated October 2026. Sources: Hawaii Department of Taxation (county surcharge, TAT announcements, Tax Facts 2017-2), Act 96 SLH 2025, County of Maui Resolution 26-69 FD2 (FY2026-27 tax rates), Maui Now. General information only; consult your CPA.